The runes were favourable, or at least, not actively hostile, for Iamgold (IAG +15.49%) today. A rather substantial surge in share price – upwards of 15%, if the scribes in the counting house are to be believed – followed an announcement of preliminary quarterly results. It’s a curious thing, this market. One minute a company is digging in the dirt, the next it’s practically minting money. Though, strictly speaking, they’re minting nothing of money. Just extracting a shiny metal that represents money. A subtle distinction, but one the Guild of Alchemists and Venture Capitalists are rather fond of.
The Digging is Good
It appears Iamgold managed to wrestle 765,900 ounces of gold from the earth in the last cycle1. A respectable haul, particularly given the increasingly grumpy disposition of the earth itself. Production at their Essakane, Côté, and Westwood sites was, shall we say, enthusiastic. 117,300, 87,200, and 37,900 attributable ounces respectively. One wonders if they’re offering hazard pay to the gnomes responsible for the extraction.
This timely output coincides with a rather dramatic spike in the price of gold itself – surpassing the 4,700 mark per ounce. A predictable reaction, of course. When the world feels as though it’s perpetually on the verge of either exploding or being mildly inconvenienced, people tend to favour things that don’t require constant polishing and are intrinsically… weighty. It’s a primitive instinct, really. A leftover from the days when bartering involved actual bars. Iamgold anticipates reporting finalized, and presumably even more impressive, revenue figures on February 17th. We’ll be watching with a healthy degree of skepticism, naturally.
Looking Ahead: More Shiny Things?
Management forecasts another 720,000 to 820,000 ounces of gold production in the coming cycle. Cash costs, including the obligatory tithes to the Royal Society of Geologists, are estimated between $1,425 and $1,575 per ounce. A delicate balancing act, to be sure. CEO Renaud Adams, a man who clearly understands the importance of optimistic pronouncements, declared it would be “a very exciting year.”2 One hopes he’s factored in the potential for disgruntled earth elementals.
From a portfolio perspective, this represents a moderate opportunity. The fundamentals are sound, the geopolitical backdrop is… shall we say, ‘interesting,’ and the price of gold continues to defy gravity. It’s not a revolution, but a solid, if unspectacular, addition to a diversified portfolio. Just remember, even the shiniest gold can’t buy you a decent night’s sleep when the world is falling apart.
1 The cyclical nature of mining operations is often overlooked. It’s not simply ‘production,’ it’s a negotiation with the planet itself. A constant exchange of resources, energy, and the occasional appeasement offering.
2 The phrase “exciting year” in corporate communications is a well-known indicator of either imminent disaster or aggressive marketing. Experienced investors learn to translate it as “prepare for volatility.”
Read More
- 39th Developer Notes: 2.5th Anniversary Update
- Gold Rate Forecast
- The Hidden Treasure in AI Stocks: Alphabet
- If the Stock Market Crashes in 2026, There’s 1 Vanguard ETF I’ll Be Stocking Up On
- The 10 Most Beautiful Women in the World for 2026, According to the Golden Ratio
- Lumentum: A Signal in the Static
- Actors Who Jumped Ship from Loyal Franchises for Quick Cash
- Berkshire After Buffett: A Fortified Position
- Celebs Who Fake Apologies After Getting Caught in Lies
- AI Stocks: A Slightly Less Terrifying Investment
2026-01-21 03:12